Climate Policy Engagement Analysis
Climate Policy Engagement Overview: Gas Infrastructure Europe (GIE) appears to be actively engaged with climate policy in Europe, with predominantly negative positions. Despite positive top-line communications on climate action and support for carbon pricing measures, GIE takes negative positions on other forms of climate regulation and continues to promote the role of fossil gas in the energy mix.
Top-line Messaging on Climate Policy: GIE's top-line support for climate action appears to be accompanied by positions emphasizing economic concerns from climate regulation. In an April 2021 Twitter post, the association stated support for the EU Green Deal’s targets, and supported the EU’s carbon neutrality target for 2050 in an October 2020 consultation response. GIE appears to have a negative position on the need for climate change regulation. In a March 2021 EU consultation response, GIE emphasized the risk of loss of investor confidence to support limited climate change regulation. In an October 2021 press release, the association also suggested EU climate legislation should be predominantly market-based and technology neutral.GIE has not explicitly supported the Paris Agreement in 2020-23, but in a 2019 position paper stated support for the UN Paris Agreement objectives.
Engagement with Climate-Related Regulations: GIE appears to have predominantly negative positions on European climate regulation. The association advocated to weaken the EU Methane Regulation for the energy sector in an April 2022 consultation response, taking an unsupportive position on measures for leak detection and repair, venting and flaring thresholds, and the inclusion of imported fossil fuels. In a May 2022 joint position paper, GIE advocated for fossil gas technologies to be promoted in the EU Energy Performance of Buildings Directive. In a November 2021 consultation response, GIE appears to state high-level support for the EU Emissions Trading Scheme (ETS), describing it as key for decarbonization in Europe.
In a March 2021 press release as part of the European Net Zero Alliance, GIE appeared to support the achievement of the EU’s 2030 GHG emission reduction target. While GIE has supported increasing the 2030 renewable energy target within the EU’s Renewable Energy Directive (RED) revision, the association advocated to weaken the policy by supporting the inclusion of non-renewable low-carbon fuels in its November 2021 consultation response. Furthermore, GIE has also repeatedly advocated against the additionality principle, a requirement for renewable energy needed for green hydrogen production to be additional to existing renewable energy capacity, within the Delegated Act on Renewable fuels of non-biological origin (RFNBOs), for example in a July 2022 position paper.
Positioning on Energy Transition: GIE appears to be negatively engaged on the energy transition, and has strongly advocated for a long-term role for fossil gas in the energy mix. Throughout 2022 the association advocated for new liquefied natural gas (LNG) infrastructure and long-term LNG contracts, including in an August 2022 S&P Global article and a May 2022 position paper. In a May 2022 report on its corporate website, the association called for the EU Alternative Fuels Infrastructure Directive to promote LNG and CNG infrastructure. In an October 2022 press release, GIE President Torben Brabo stated support for the REPowerEU proposal, specifically supporting the biomethane targets.
In a January 2022 joint letter, GIE supported a weakening of the EU Commission's proposal for the sustainable finance taxonomy by advocating for the inclusion of fossil gas. Documents, accessed via Freedom of Information request, from a February 2022 meeting between GIE and EU Commissioner for Energy Kadri Simson showed the industry association calling for LNG infrastructure to be supported to diversify the European energy system. The organization supported the EU’s Hydrogen and Gas Decarbonization Package with major exceptions, advocating for fossil gas and hydrogen blending, and not supporting measures to disincentivize unabated fossil gas use in its June 2021 consultation response.